Investing.com - The U.S. dollar eased up to one-week highs against the Canadian dollar on Wednesday as investors awaited the minutes of the Federal Reserve’s latest meeting later in the session for fresh insight into when U.S. borrowing costs might rise.
USD/CAD touched highs of 1.0918, the most since May 14 and was last up 0.09% to 1.0914.
The pair was likely to find support at 1.0870, Tuesday’s low and resistance at 1.0959.
Investors were turning their attention to of the minutes from the Fed’s latest monetary policy meeting for insight on the central bank''s view of the economy.
Recent U.S. economic reports indicating that the recovery remains uneven have weighed on U.S. Treasury yields, pressuring the dollar.
On Tuesday, New York Fed President William Dudley reiterated the central bank’s dovish stance, saying the pace of rate hikes was likely to be “slow”.
Market participants were also looking ahead to Canadian data on retail sales due for release on Thursday and a report on consumer inflation on Friday.
Elsewhere, the loonie, as the Canadian dollar is also known, was higher against the euro, with EUR/CAD down 0.18% to 1.4915.
The euro remained under pressure amid expectations that the European Central Bank will ease monetary policy at its next meeting in June and after data last week showing that the euro zone economy grew at a slower than forecast rate in the first quarter.